Buying share of freehold flat, how can I protect myself?

propertyman

sebtomato wrote: »

We created a freeholder company for my block of flat, and that company bought the freehold of the building from the previous freeholder.

We all have shares in the new company, so we do have a share of freehold (e.g. each flat owns a share of the freehold via the freeholder company).

Therefore, no sure why people say it's not possible.

Because you don't.:rotfl:

The company a legla entity in its own right, owns THE freehold.

You have a share in, or a member of, that company.

You own a lease of your flat.

Its that simple no need for made up ownership.

propertyman

Richard_Webster wrote: »

"
The advantages and disadvantages of "share of freehold" are set out at some length on my practice's website - which you should be able to find fairty easily but which I cannot post here.

Then I will, as an explanatory link. Other solicitors and conveyancers are available.

http://www.rwco.co.uk/shared_freehold.htm

and for balance

http://leaseholdpropertymanager.blog...-you-dont.html

Bantex_2

sterl1ng wrote: »

Buying 1 bed flat in converted house, which is share of freehold. Just found out the flat above has also offer on it but by investor, so bit concerned when it comes to work needing doing investor will be non respondent. People tell me share of freehold is much better than leasehold but I'm finding this all rather complicated especially as homebuyer report speaks of roofing, plumbing and damp issues which need addressing!

I really like this place so is there anything I can do for piece of mind for this share of freehold in terms of me a FTB vs this investor who's bought upstairs?

I would walk away from a flat in a building that has BTL in it. The landlord will not care less and neither will the tenants about the state of the place as they have no financial interest.

bouicca21

Gosh, I thought share of freehold as shorthand for 'you get two hats as owner of a lease and some kind of participation in the ownership of freehold' was pretty obvious. Clearly not. The important thing is (a) to understand the two hats and their different roles and (b) to find out exactly what the management arrangements are and their enforceability - they vary.

propertyman

bouicca21 wrote: »

Gosh, I thought share of freehold as shorthand for 'you get two hats as owner of a lease and some kind of participation in the ownership of freehold' was pretty obvious. Clearly not. The important thing is (a) to understand the two hats and their different roles and (b) to find out exactly what the management arrangements are and their enforceability - they vary.

Well that is a fair description; the problem is that shorthand has become, in amongst our expectation that nothing can be longer nor more complicated than a tweet, into a "real" form of tenure.

That then creates huge issues for the flat owner in terms of expectations of
-independence from the normal rules of flat living whether paying for things or your right to have a tap dancing hippo
-when leases dip below 90 years left and you neither understand the need for or the cost of an extension
- that none of the obligations or rights of the freeholder/leaseholder apply to you/us.

sterl1ng

rpc wrote: »

How many other freeholders? Sounds like the current bunch don't really care too much. If it is only two flats, both being sold, then there might be some progress. If some of the current, not-bothered freeholders will remain then you might struggle to make repairs.

I'd seen the EA over the weekend and told her as to issues on flat but needed clarification on who does what as with it being share of freehold though very long lease not sure if fixing chimney stack/roofing are down to me. As for damp inside flat I'm going to get a free damp survey done. I've emailed the EA this morning with questions after having spoken to solicitor who said to find out names of freeholders/when works were last carried out and also any plans to carry future works.

Richard_Webster

I'd seen the EA over the weekend and told her as to issues on flat but needed clarification on who does what as with it being share of freehold though very long lease not sure if fixing chimney stack/roofing are down to me.

Unlikely the EA will know this level of detail - many flat lessees don't!

sterl1ng

Surely there would be a lease which would stipulate this? So if no such as share of freehold are all the communal works like roof/chimney down to freeholder?

sebtomato

propertyman wrote: »

Because you don't.:rotfl:

The company a legla entity in its own right, owns THE freehold.

You have a share in, or a member of, that company.

You own a lease of your flat.

Its that simple no need for made up ownership.

I own a share of the freehold, through that company. I am a leaseholder to basically myself.

To summarise, I am a leaseholder to a flat that also owns a share of the freehold. Therefore, as a shortcut, owning a "share of the freehold" is not completely wrong.

propertyman

sebtomato wrote: »

I own a share of the freehold, through that company. I am a leaseholder to basically myself.

To summarise, I am a leaseholder to a flat that also owns a share of the freehold. Therefore, as a shortcut, owning a "share of the freehold" is not completely wrong.

no that's utterly boneheaded wrong:)

you own a share in a company, that's all. On the deeds, inmost cases, and st the land registry the freeholder is xyx company limited, not you or a share of you, just it. That company is your freeholder and landlord.
in most cases the freeholder, the company is responsible for the exterior and structure though chimneys can be exceptions.

the solicitors reply is odd as they should have the land reg file with company name, and via companies house the name of the directors, or if owned jointly, in trust, the names of the freeholder, and be asking them. In enquiries before sale, about such works and reading the lease and telling you.

if you look on p1 there is a sticky and inside my what to do when buying a flat.

as always if someone can produce a land reg office copies that says share of freehold i will cut off my gentleman s veg. Otherwise for the delusional just read the lpa 1925 where you will find the 3 forms of legal tenure in England and Wales sof isn't there. Lawyered